Manufacturing activity in February increases by the most in 5 months
The latest flash PMI reading from Markit Economics came in at 54.3, up from last month and topping expectations.
Expectations were for the index to show activity is still expanding, with the index expected to measure a 53.6, down from 53.9 in January.
In a release, Markit Economics said, "Manufacturing companies indicated a robust and accelerated expansion of production volumes during February. The latest increase in output was the most marked since October 2014, with survey respondents noting that improving economic conditions and rising client spending continued to boost production schedules."
Commenting on the release, Markit's Chris Williamson said, "Factory output growth ticked higher for a second successive month in February, suggesting the goods-producing sector is on course to make a robust contribution to the economy in the first quarter. The production upturn occurred despite widespread delivery delays caused by heavy snowfall and port strikes, which may have also been a factor behind the near-stagnation of exports, suggesting the underlying picture may have been one of slightly stronger growth."
Williamson added, however, that "The survey therefore adds to the sense that, while still expanding at a solid pace, the US economy has entered a slower growth phase."